With Zimbabwe adopting a cashless economy, there has been significant growth in the value and volumes of mobile money transactions.
According to the Postal and Telecommunications Regulatory Authority of Zimbabwe sector performance report for the second quarter, it is clear that the trend is on the rise. With the value of the mobile money cash in transactions recorded in the second quarter amounting to $2,440,827,098 from $1,172,846,324 recorded in the previous quarter.
Airtime and bill payments done via mobile money also grew and this can be attributed to the mobile money platforms partnering with different service providers and also the fact that hard cash is hard to come by nowadays.
With the current economic situation and the devaluation of the Zimbabwean dollar, there has been an increase in foreign currency deals which are done in the street corners despite the existance of licensed bureau de change.
Many locals have opted to sell their foreign currency on the streets and get better rates which they can receive through their mobile money wallets other exchanging the money at the bank.
The significant growth in the volume and value of mobile money transactions can also be attributed to the growth in the number of users and uses. Of all the mobile money transactions recorded in the second quarter, Ecocash processed 99,6% of the transactions which is a 0.2% increase from the 99.4% recorded in the previous quarter.
This then left OneMoney and TeleCash to take up 0,3% and 0,1% respectively. One could argue that surely there is something that Ecocash is doing right that the competitors could learn or adopt.
With a client base like the one Econet has, it is no surprise that its mobile money platform manages to process the highest number of transactions.
As shown above, there was a significant growth in the volume and value of mobile money transactions in the quarter under review.
The growth in the value of transactions can be attributed to a number of factors such as the general increase in the cost of goods and services as well as the growth in the number of uses and users. Ecocash processed 99.6% of the total value of transactions up from 99.4% recorded in the previous quarter